What is the present value of the lump sum payment

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Reference no: EM131022034

Gregg recently won $1,000,000 in the lottery. He was offered a lump sum payment of $1,000,000 today or an annuity of $80,000 per year for 20 years. Use this information to answer questions 4, 5 and 6. Round your answers to the nearest whole dollar.

What is the present value of the lump sum payment?

Reference no: EM131022034

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